Whether you are a business owner, professional, or an everyday person who uses a bank account, this guide will help you with 9 effective ways to protect it from fraudsters.
It will keep you informed about the latest scams, how they work, and how to spot them before they cause harm. Along with these 9 tips, you’ll also learn key dos and don’ts to safeguard your account.
Today, scammers use advanced tricks to target people online, often playing on emotions to deceive them. They create fake accounts, build fraudulent websites, and send phishing emails to steal personal details and money.
Use a Strong PIN and Password
If you want to protect your bank account from fraudsters, make sure to follow the following 5 tips:
- Don’t use sequential letters or numbers like 1234, abcd, or asdfgh, which are easy to access.
- Don’t use your birth date, month, or year in your password, because fraudsters can guess it easily.
- Don’t create a 4-digit PIN as it can be coded easily. Go for a 6-8 digit PIN.
- Don’t take a screenshot of your PIN or write it down, as someone close to you could misuse it.
- Don’t use your house number or any number that others can guess as your PIN. Choose a random, hard-to-guess combination instead.
Enable Two-Factor Authentication (2FA)
Adding two-factor authentication protects you from scammers gaining access to your banking accounts. 2FA acts as a shield and adds an extra layer of security by requiring a strong form of verification beyond just a password.
Second factor authentication requires a code from the authentication app, SMS message, or biometric scan that is linked to the user’s device or identity. Even if a hacker gets your password, they still need the second factor to gain access.
Monitor Your Account Regularly
Always keep a close eye on your bank account to catch any suspicious activity early. Make it a habit of checking the bank statements or transaction history at least once a week.
Always sign up to get alerts, either by email or SMS, to have a thorough check on your bank details. These notifications will make you aware of your transactions, whether small or big.
Be Aware of Phishing Scams
Most phishing attacks use email. Attackers use fake websites or phishing emails to trick you into revealing personal data like passwords or credit card details. Don’t open links or attachments in emails or text messages from strangers.
They might trick you with an email claiming that your password is about to expire, renew it within 24 hours, or something from a university offering mass distribution of gifts or scholarships. It's better not to click on those attached links to be safe.
Avoid Public Wi-Fi for Banking
Fraudsters can breach your sensitive data easily, such as essential banking information and passwords. Malicious actors can set up fake Wi-Fi hotspots that appear trustworthy but are designed to infect your devices with malware.
Stay safe by avoiding logging into your bank account or conducting financial transactions through a public Wi-Fi. Use your own mobile data or a private, password-protected Wi-Fi network for banking tasks.
Keep Your Devices Secure
- Install suitable antivirus software.
- Create a strong password to stop others from gaining access without permission.
- Keep your whole system, apps, and even browsers updated.
- Always have a backup for your device.
- Shut down your device to reduce its visibility to hackers.
Be Aware of Social Media Phishing
Social media phishing is a cyberattack where malicious actors use platforms like Instagram, Facebook, or Twitter to trick users into revealing information.
These scammers fool you by creating fake profiles or fake login pages, or by crafting messages that mimic legitimate communications from trusted entities. They use psychological manipulation to gain trust.
Never Share Your Banking Details
Don’t ever share your personal details with strangers pretending to be bankers or government employees. Always use trusted UPI apps for payments.
Setting a spending limit on your card can help you avoid being scammed. Also, don’t overshare on social media, as scammers might misuse your personal information.
Destroy Bank Documents Before Disposing
Shredding or destroying your financial documents is necessary to protect yourself from scammers. Documents that include bank account numbers, address, or branch details should be kept private. Always make sure they are destroyed before disposal.
Final Thoughts
Don’t trust anyone blindly who contacts you out of the blue, especially if they are asking for personal information or money. Don’t fall for offers that seem unrealistic. If someone claims to be from a reputable organization, verify their identity through official channels.
Frequently Asked Questions
How to determine if a bank is safe?
- Research the bank’s reputation online.
- Check interest rates, charges, and security features.
- Review customer service quality.
- Ensure local branches and ATMs are operational.
- Make sure the bank offers a user-friendly mobile app.
Can I get my money back if my bank account is hacked?
In most cases, the bank is responsible for refunding money taken by scammers. However, it varies from bank to bank. If you were tricked into giving out information or authorized the transaction yourself, you may not get a full refund. Reporting the incident immediately plays a vital role.
What are some of the most common bank frauds?
Recent frauds include account takeovers, card skimming, cheque fraud, smishing, OTP fraud, credit card fraud, fake app fraud, spoofing, money transfer fraud, and phishing scams. Among these, phishing scams remain the most common.